More than half of rent payments on a typical unit go toward landlords' fixed costs
- Amid record unemployment, 12.4% of U.S. renters missed payments in the first two weeks of July, up from 9.9% last year. Missed payments are expected to increase after additional unemployment benefits expired on July 31.
- A surge in missed payments has the potential to start a ripple effect felt by rental industry workers and others who rely on the rental industry. The average profit margin for a rental unit is 6.4% -- less than half what it was five years ago.
- An estimated 53.8% of rental income is typically spent just on fixed costs of property ownership that landlords are responsible for (mortgage payments, property taxes, maintenance, insurance and capital improvements).
PR Newswire
SEATTLE, Aug. 5, 2020
